- 16 Jun 2018 15:54
#14925101
@Rugoz
Of course.
You don't seem to have read or understood experiment 1a. The participants aren't loosing any money, in fact they are guaranteed to earn money regardless of what they did. The participants were payed 10$ and, within the game, had two choices. They either could simply not play and simply take that guaranteed $5 or they could play the lottery and gain more. The only way you would loose is to not play the lottery. It's practically a free $15-20 guaranteed, even if you didn't trust the probabilities, you would still play anyways because you are still gaining something out of it. The structure of the game is designed to make sure that all players will be encouraged to gamble on that $5 dollars since, while you can walk away with $20 dollars, there is always the potential for more. Also, you missed a core part of the game's design and that is the fact that you must trust other players (those you have not seen) in order to actually gain money. Holding onto you're money and playing it safe will only net you the basic $5 per round but playing the lottery and investing your money into a pool with other players will net you more money.
They say this directly in the PDF of the full experiment that I have already linked to you:
Now that I have explained how the game in experiment 1a works and that I have given a direct citation from the experiment itself as evidence, I assume all conflicts you have with this study will disappear.
I have read the parts about measuring "ambiguity", have you?
Of course.
In the first part of 1a they measure risk aversion, in the second part they claim to measure "ambiguity" by not revealing the winning probabilities. But if the winning probabilities are unknown, participants must make assumptions about them. If participants think the probabilities aren't fair, they are less likely to play the game. What is being measured here is simply the trust of the participants in the researchers to provide fair or favourable probabilities.
You don't seem to have read or understood experiment 1a. The participants aren't loosing any money, in fact they are guaranteed to earn money regardless of what they did. The participants were payed 10$ and, within the game, had two choices. They either could simply not play and simply take that guaranteed $5 or they could play the lottery and gain more. The only way you would loose is to not play the lottery. It's practically a free $15-20 guaranteed, even if you didn't trust the probabilities, you would still play anyways because you are still gaining something out of it. The structure of the game is designed to make sure that all players will be encouraged to gamble on that $5 dollars since, while you can walk away with $20 dollars, there is always the potential for more. Also, you missed a core part of the game's design and that is the fact that you must trust other players (those you have not seen) in order to actually gain money. Holding onto you're money and playing it safe will only net you the basic $5 per round but playing the lottery and investing your money into a pool with other players will net you more money.
They say this directly in the PDF of the full experiment that I have already linked to you:
. In experiment 1, subjects (N =103) first played a gambling task (Fig. 1a), where on each trial they decided between a sure payout of $5 or the option to play the lottery. Each lottery varied in terms of the amount of risk (25, 50, and 75% of winning the money), ambiguity (24, 50, and 74%), and potential payoffs (from $5 to $125). For example, in a risky trial, subjects could choose between a sure outcome and a gamble with a 50% chance of winning $20. These probabilities were denoted by a picture of a blue and a red bar that corresponded to an actual bag filled with 100 blue and red chips (placed beside the subject in the testing room). In an ambiguous trial, subjects were presented with a similarly colored bar; however, a proportion of the bar was occluded, leaving subjects partially informed of the composition of the chips.
The rest of the paper hinges upon the measurement of "ambiguity", so if I'm not convinced of that part I can safely ignore the rest.
Now that I have explained how the game in experiment 1a works and that I have given a direct citation from the experiment itself as evidence, I assume all conflicts you have with this study will disappear.